BRUSSELS, Oct. 2 (CandyPulse) — Two big names in crypto have told European regulators how they think the EU's crypto rulebook should change. In responses to the European Commission's review of MiCA, the Hyperliquid Policy Center and Circle pushed for changes on perpetual futures and stablecoin reserves.
Key takeaways
Perpetual futures, or "perps", are crypto's most-traded product. The Hyperliquid Policy Center (HPC) argues they should be regulated under MiFID II, the EU's main framework for financial instruments, rather than MiCA, and kept separate from the rules for CFDs (contracts for difference).
HPC chief executive Jake Chervinsky argued that how a product is regulated should depend on its economic features, not on whether it's recorded on a blockchain.
Circle, the issuer of USDC, is focused on stablecoins. Under MiCA, stablecoin issuers must keep 30% to 60% of their reserves as bank deposits. Circle wants that replaced with a liquidity-based rule, focused on how quickly reserve assets can be sold, rather than where they're held.
It also wants multi-issuance preserved, which lets the same stablecoin be issued both inside and outside the EU.
| Who | Issue | Proposal |
|---|---|---|
| Hyperliquid Policy Center | Perpetual futures | Regulate under MiFID II, separate from CFD rules |
| Circle | Stablecoin reserves | Replace the 30–60% bank deposit floor with a liquidity rule |
| Circle | Multi-issuance | Keep it allowed |
MiCA has reshaped who can serve European crypto users. According to the reporting, only three of the world's top 30 stablecoins are currently MiCA-compliant: USDC, USDG and EURC. How the EU updates the rules could decide which stablecoins and trading products Europeans can use.
The Commission will now weigh the responses. Any changes to MiCA would take time and go through the EU's legislative process, so don't expect overnight shifts.
This article is for information only and is not legal or financial advice.